Along my journey friends, family and others have joined me and I've had the privilege of deploying over $20MM primarily as LP equity diversified across 8,000 apartment units.

Good credit is rare in the Class C tenant pool, but when I find someone above 650 that's worth something to me and I will overlook some other minor issues like no past LL references since it's clear they value their reputation somewhat and I can use that as leverage.One more thing...if you're going to do cash for keys, I wouldn't give away the whole farm and pay them $500 for the privilege. 

Technically, if any business activity happens in California (including you living here and coordinating business activity), you'll get the privilege of registering your NV LLC in CA ...

So you get the privilege of wealth redistribution...merely because you worked harder, smarter and made better life choices.Investors like me will pull our money out and there will be even LESS rental housing. 

Like it or not that need to be paid your partner Uncle Sam or his Canadian equivalent cousin.Some jurisdictions in the US levy a Gross Receipts Tax or the business privilege tax, which is small percentage of your rental gross income.

Hedge funds use extreme techniques and do better... but you will pay them a hefty sum of your profits for the privilege if you could even get in with one.  

Securities are defined by the Securities Act of 1933http://www.sec.gov/about/laws/sa33.pdfThe definition is:The term ‘‘security’’ means any note, stock, treasury stock, security future, security-based swap, bond, debenture, evidence of indebtedness, certificate of interest or participation in any profit-sharing agreement, collateral-trust certificate, preorganization certificate or subscription, transferable share, investment contract, voting-trust certificate, certificate of deposit for a security, fractional undivided interest in oil, gas, or other mineral rights, any put, call, straddle, option, or privilege on any security, certificate of deposit, or group or index of securities (including any interest therein or based on the value thereof), or any put, call, straddle, option, or privilege entered into on a national securities exchange relating to foreign currency, or, in general, any interest or instrument commonly known as a ‘‘security’’, or any certificate of interest or participation in, temporary or interim certificate for, receipt for, guarantee of, or warrant or right to subscribe to or purchase, any of the foregoingSo, are loans securities?

Section 8 is a privilege and can be taken away. 

Other ways of holding title include Sole Ownership, Tenants in Common, Joint Tenancy with rights of Survivorship, Community Property, and Living Trust.A Land Trust is a specific method of holding title:The purpose of a land trust is to allow one to have the legal title to his property held by another person, or trustee, while retaining all of the rights and privileges of property ownership (the beneficial interest).

If this had been a good tenant and they asked to keep a pet responsibly, then maybe I'd have extended the privilege.